Agenda item

To submit the report of the Cabinet Member for Finance.

 

1. To approve the recommendations of the Cabinet, namely:-

 

(a) Set a budget of £317,880,310 for 2023/24, to be funded by £227,842,930 of Government Grant and £90,037,380 Council Tax income (which is an increase of 4.95% on the tax of individual dwellings).

 

(b) To set a capital programme of £67,780,150 in 2023/24, to be funded from the sources noted in Appendix 4 of the report.

 

2.  To note that the Cabinet Member for Finance, in a decision notice dated 6 January 2023, approved the calculation of the following amounts for 2023/24 in accordance with regulations made under Section 33 (5) of the Local Government Finance Act 1992 (“The Act”):-

 

(a)    56,182.77 being the amount calculated as Gwynedd's Tax Base in accordance with the Local Authorities (Calculation of Council Tax Base) (Wales) Regulations 1995 as amended, as its Council Tax base for the year.

 

(b)   Part of the Council’s Area - Community Tax Base -

 

Aberdaron	608.85		Llanddeiniolen	1,871.98
Aberdyfi	1,195.87		Llandderfel	523.58
Abergwyngregyn	126.33		Llanegryn	172.23
Abermaw (Barmouth)	1,285.44		Llanelltyd	323.96
Arthog	709.28		Llanengan	2,586.58
Y Bala	805.47		Llanfair	369.71
Bangor	4,268.54		Llanfihangel y Pennant	257.09
Beddgelert	348.15		Llanfrothen	241.18
Betws Garmon	145.50		Llangelynnin	469.53
Bethesda	1,695.61		Llangywer	154.57
Bontnewydd	462.48		Llanllechid	361.11
Botwnnog	485.84		Llanllyfni	1,455.91
Brithdir a Llanfachreth	467.94		Llannor	930.15
Bryncrug	346.51		Llanrug	1,151.24
Buan	236.07		Llanuwchllyn	330.26
Caernarfon	3,699.26		Llanwnda	820.41
Clynnog Fawr	493.91		Llanycil	218.04
Corris	324.86		Llanystumdwy	936.33
Criccieth	995.98		Maentwrog	318.33
Dolbenmaen	659.77		Mawddwy	389.38
Dolgellau	1,300.53		Nefyn	1,678.16
Dyffryn Ardudwy	870.27		Pennal	245.61
Y Felinheli	1,196.12		Penrhyndeudraeth	822.10
Ffestiniog	1,855.12		Pentir	1,300.28
Y Ganllwyd	90.22		Pistyll	282.17
Harlech	876.70		Porthmadog	2,277.83
Llanaelhaearn	480.92		Pwllheli	1,833.57
Llanbedr	365.94		Talsarnau	362.74
Llanbedrog	847.20		Trawsfynydd	519.28
Llanberis	793.84		Tudweiliog	502.47
Llandwrog	1,063.40		Tywyn	1,779.26
Llandygai	1,029.59		Waunfawr	566.22

 

 

namely the amounts calculated as the Council Tax Base amounts for the year for dwellings in those parts of its area to which one or more special items relate.

 

3. That the following amounts now be calculated by the Council for the year 2023/24 in accordance with Sections 32 to 36 of the Act:-

                       

(a)	£505,479,830	Being the aggregate of the amounts which the Council estimates for the items set out in Section 32(2)(a) to (e) of the Act (gross expenditure).
(b)	£185,199,940		Being the aggregate of the amounts which the Council estimates for the items set out in Section 32 (3)(a) to (c) of the Act (income).
(c)	£320,279,890		Being the sum that corresponds with the difference between the above aggregate 3 (a) and the above aggregate 3 (b) calculated by the Council, in accordance with Section 32(4) of the Act, as its budgetary requirements for the year (net budget).
(ch)	£227,347,266		Being the aggregate of the sums which the Council estimates will be payable for the year into its fund in respect of redistributed Non-domestic Rates and Revenue Support Grant, less the estimated cost to the Council of discretionary Non-domestic rate relief granted.
(d)	£1,654.11		Being the amount in 3(c) above, less the sum in 3(ch) above, all divided by the sum noted in 2(a) above, that was calculated by the Council in accordance with 33(1) of the Act, which is the basic amount of Council Tax for the year (Gwynedd Council tax and the average community council tax).
(dd)	£2,895,243.21		Being the aggregate amount of all special items referred to in Section 34 (1) of the Act (community council precepts).
(e)	£1,602.58		Being the sum in 3(d) above, less the result of dividing the amount in 3(dd) above divided by the amount in 2(a) above, that was calculated by the Council in in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for the year for dwellings in those parts of its area to which no special item relates (Band D for Gwynedd Council Tax only).

 

(f) For parts of the Council’s area -

 

 

being the amounts given by adding the amounts of the item or special items relating to dwellings in those parts of the Council’s area mentioned above, to the sum given in 3(e) above, divided in each case by the amount of 2(b) above, calculated by the Council, in accordance with Section 34(3) of the Act, as the basic amounts of its Council Tax for the year for dwellings in those parts of its area to which one or more special items relate.

 

(ff)   In respect of part of the Council’s area, the figures noted in Appendix 1 to Appendix 11 to Item 10 on the Council agenda, being the amounts given by multiplying the sums specified in 3(f) above by the number which, in the proportion set out in Section 5 (1) of the Act, is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in valuation band D, calculated by the Council, in accordance with Section 36 (1) of the Act, as the amounts to be taken into account for the year in respect of categories of dwellings listed in different valuation bands.

 

4.  That it be noted that for the year 2023/24 the North Wales Police and Crime Commissioner has stated the following amounts in a precept issued to the Council, in accordance with Section 40 of the Act, for each of the categories of dwellings shown below:

 

	Band A	Band B	Band C	Band D	Band E	Band F	Band G	Band H	Band  I
	222.06	259.07	296.08	333.09	407.11	481.13	555.15	666.18	777.21

 

5.  Having calculated the aggregate in each case of the amounts at 3(ff) and 4 above, the Council, in accordance with Section 30(2) of the Act, hereby sets the amounts noted in Appendix 2 to Appendix 11 to Item 10 on the Council agenda as the amounts of Council Tax for the year 2023/24 for each of the categories of dwellings shown in the Appendix.

 

The Chair noted, in line with the Constitution, that the Head of Finance had to receive notice of any amendment to the budget in writing in advance, and that this amendment had to lead to a balanced budget, if it was to be discussed.  All Council members had been reminded of this the previous week, and as the Head of Finance had not received any notice of an amendment by the designated deadline, it would not be possible for the Council to consider any amendment to the budget.

 

The Cabinet Member for Finance, Councillor Ioan Thomas submitted the following:-

 

·         A report recommending a budget for the Council's approval for 2023/24;

·         The draft decision on the Council Tax based on the Cabinet's recommendation to the Council (based on an increase of 4.95%), along with tables showing the Council Tax level and the increase per community.

 

The officers of the Finance Department were thanked for all their work in preparing the budget.

 

The Head of Finance reminded the members of some of the main risks in Appendix 10 of the report, and he confirmed, having considered all risks and mitigation steps, that he was of the opinion that the Council Budget for 2023/24 was sound, sufficient and deliverable.

 

Members were given an opportunity to make observations and ask questions.  The following matters were raised by individual members:

 

·         It was enquired what type of support was available for people who had difficulty to pay Council Tax. In response, it was explained that people were firstly asked to ensure they were eligible for the Council Tax Support Scheme.  There was concern that many people in the county either did not realise they were eligible, or were not aware of the scheme. The need was emphasised for anyone who was concerned about their situation to contact the Finance Department immediately before getting into difficulties.

·         It was enquired how many people had failed to pay and how many summons were being issued and the cost of this to the Council. It was also asked why the Taxation Services phone-line closed at 2pm everyday. In response, the Head of Finance Department noted that he did not have the summons figures to hand but he could obtain the information for the member. In terms of the phone-line, he explained that staff turnover had been a problem in the unit but the situation was now stabilising.  He also explained that there was information processing work following every phone call and that information also arrived by post and e-mail, which needed to be processed.  He further noted that work had been commissioned by the Ffordd Gwynedd Team to look at the work-flow within the Taxation Service to examine why the number of phone calls was so high, and to see whether it would be possible to re-design the work so that people did not phone.

·         The Cabinet Member for Adults, Health and Well-being noted that he wished to greatly urge his fellow members to support the £1.5m bid for staff salaries.  He explained that the job descriptions of all front-line staff of the internal adult care field had been reviewed and re-evaluated and, by being passed, the bid would mean that salaries could be increased to correspond with the new evaluation.

·         It was noted that it was important that people understood that Cyngor Gwynedd had not caused the financial crisis, and that the Westminster Government was to blame for providing less money to us every year. It was also noted that using reserves to close the gap was not a long-term solution.

·         It was noted that it was encouraging that we were talking more about savings than cuts today.

·         It was noted that voting to increase the Council Tax by 4.95% gave no pleasure to the members, but it was believed that the recommended budget was balanced and protected as many services as possible, while also protecting the pockets of our residents. It was further noted that the system of funding local government did not work. It did not cover our costs or took into account that different types of inflation affected us, such as salary inflation, material inflation, service inflation etc. and people needed to understand this.  It was also noted that 4.95% was approximately half the inflation level, which was currently between 10% and 12%.

·         Until a great revolution would come, it was suggested that we would still be pressing on our residents. We had tightened down our services and it was very difficult to disagree with the recommendation. 

·         If more and more statutory requirements were placed on us by the central government and less money to undertake the resulting additional duties, it was enquired what would be the results of not undertaking some of the duties. In response, the Chief Executive noted that it was very difficult to predict where this would go next. The Council had been in this position before of having to squeeze every penny, and it had to make a new effort again to do so, and had been successful so far. He forewarned that there was an element for the 2024/25 financial year that had still not been discovered, and it was likely that this would push the Council to real cuts territory. He explained that he could not provide more assurance or guarantee on that point, but unfortunately, the Council operated within a system that relied on budget coming in every year, and it had to respond quickly when statements were issued.

 

RESOLVED

 

1. To approve the recommendations of the Cabinet, namely:-

 

(a)  Set a budget of £317,880,310 for 2023/24, to be funded by £227,842,930 of Government Grant and £90,037,380 Council Tax income (which is an increase of 4.95% on the tax of individual dwellings).

 

(b)  To set a capital programme of £67,780,150 in 2023/24, to be funded from the sources noted in Appendix 4 of the report.

 

2.  To note that the Cabinet Member for Finance, in a decision notice dated 6 January 2023, approved the calculation of the following amounts for 2023/24 in accordance with regulations made under Section 33 (5) of the Local Government Finance Act 1992 (“The Act”):-

 

(a)       56,182.77 being the amount calculated as Gwynedd's Tax Base in accordance with the Local Authorities (Calculation of Council Tax Base) (Wales) Regulations 1995 as amended, as its Council Tax base for the year.

 

(b)       Part of the Council’s Area - Community Tax Base -

 

Aberdaron	608.85		Llanddeiniolen	1,871.98
Aberdyfi	1,195.87		Llandderfel	523.58
Abergwyngregyn	126.33		Llanegryn	172.23
Barmouth	1,285.44		Llanelltyd	323.96
Arthog	709.28		Llanengan	2,586.58
Y Bala	805.47		Llanfair	369.71
Bangor	4,268.54		Llanfihangel-y-pennant	257.09
Beddgelert	348.15		Llanfrothen	241.18
Betws Garmon	145.50		Llangelynnin	469.53
Bethesda	1,695.61		Llangywer	154.57
Bontnewydd	462.48		Llanllechid	361.11
Botwnnog	485.84		Llanllyfni	1,455.91
Brithdir and Llanfachreth	467.94		Llannor	930.15
Bryncrug	346.51		Llanrug	1,151.24
Buan	236.07		Llanuwchllyn	330.26
Caernarfon	3,699.26		Llanwnda	820.41
Clynnog Fawr	493.91		Llanycil	218.04
Corris	324.86		Llanystumdwy	936.33
Cricieth	995.98		Maentwrog	318.33
Dolbenmaen	659.77		Mawddwy	389.38
Dolgellau	1,300.53		Nefyn	1,678.16
Dyffryn Ardudwy	870.27		Pennal	245.61
Y Felinheli	1,196.12		Penrhyndeudraeth	822.10
Ffestiniog	1,855.12		Pentir	1,300.28
Y Ganllwyd	90.22		Pistyll	282.17
Harlech	876.70		Porthmadog	2,277.83
Llanaelhaearn	480.92		Pwllheli	1,833.57
Llanbedr	365.94		Talsarnau	362.74
Llanbedrog	847.20		Trawsfynydd	519.28
Llanberis	793.84		Tudweiliog	502.47
Llandwrog	1,063.40		Tywyn	1,779.26
Llandygái	1,029.59		Waunfawr	566.22

 

namely the amounts calculated as the Council Tax Base amounts for the year for dwellings in those parts of its area to which one or more special items relate.

 

3.  That the following amounts now be calculated by the Council for the year 2023/24 in accordance with Sections 32 to 36 of the Act:-

                       

(a)	£505,479,830	Being the aggregate of the amounts which the Council estimates for the items set out in Section 32(2)(a) to (e) of the Act (gross expenditure).
(b)	£185,199,940		Being the aggregate of the amounts which the Council estimates for the items set out in Section 32 (3)(a) to (c) of the Act (income).
(c)	£320,279,890		Being the sum that corresponds with the difference between the above aggregate 3 (a) and the above aggregate 3 (b) calculated by the Council, in accordance with Section 32(4) of the Act, as its budgetary requirements for the year (net budget).
(ch)	£227,347,266		Being the aggregate of the sums which the Council estimates will be payable for the year into its fund in respect of redistributed Non-domestic Rates and Revenue Support Grant, less the estimated cost to the Council of discretionary Non-domestic rate relief granted.
(d)	£1,654.11		Being the amount in 3(c) above, less the sum in 3(ch) above, all divided by the sum noted in 2(a) above, that was calculated by the Council in accordance with 33(1) of the Act, which is the basic amount of Council Tax for the year (Gwynedd Council tax and the average community council tax).
(dd)	£2,895,243.21		Being the aggregate amount of all special items referred to in Section 34 (1) of the Act (community council precepts).
(e)	£1,602.58		Being the sum in 3(d) above, less the result of dividing the amount in 3(dd) above divided by the amount in 2(a) above, that was calculated by the Council in in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for the year for dwellings in those parts of its area to which no special item relates (Band D for Gwynedd Council Tax only).

 

(f)  For parts of the Council’s area -

 

 

being the amounts given by adding the amounts of the item or special items relating to dwellings in those parts of the Council’s area mentioned above, to the sum given in 3(e) above, divided in each case by the amount of 2(b) above, calculated by the Council, in accordance with Section 34(3) of the Act, as the basic amounts of its Council Tax for the year for dwellings in those parts of its area to which one or more special items relate.

 

(ff)             For parts of the Council’s area, the figures noted in Appendix 1, being the amounts given by multiplying the sums specified in 3(f) above by the number which, in the proportions set out in Section 5 (1) of the Act, is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in valuation band D, calculated by the Council, in accordance with Section 36 (1) of the Act, as the amounts to be taken into account for the year in respect of categories of dwellings listed in different valuation bands.

 

4.  That it be noted that for the year 2023/24 the North Wales Police and Crime Commissioner has stated the following amounts in a precept issued to the Council, in accordance with Section 40 of the Act, for each of the categories of dwellings shown below:

 

	Band A	Band B	Band C	Band D	Band E	Band F	Band G	Band H	Band I
	222.06	259.07	296.08	333.09	407.11	481.13	555.15	666.18	777.21

 

5.   That, having calculated the aggregate in each case of the amounts at 3(ff) and 4 above, the Council, in accordance with Section 30(2) of the Local Government Finance Act, 1992, hereby sets the amounts noted in Appendix 2 as the amounts of Council Tax for the year 2023/24 for each of the categories of dwellings shown therein.